How to get regular returns from SWP as I do not have pension

Investing in mutual funds should be based on your risk taking appetite. You have to think and decide how much risk you can take with your retirement money and how long you can remain invested?

You have mentioned tax free monthly SWP returns. Please note that tax free SWP returns are possible only when you invest the lump sum amount in equity or balanced funds and start the SWP after one year from the date of investment.

Therefore, if you are willing to take moderately high risk then investing in balanced funds for availing fixed monthly amount through SWP can be a good option. For higher risk taking appetite, equity funds are another option.

However, if you can not take much risk, then taking SWP from debt funds could be another good idea. But remember, the capital gains arising out of each withdrawal, in case of debt funds, will not be tax free!

Please read the pros and cons of SWP from balance funds and debt funds from the links below and then decide which one is beneficial for you.

How MF SWPs are smart option for regular returns https://www.advisorkhoj.com/articles/Mutual-Funds...

SWP from balanced funds https://www.advisorkhoj.com/articles/Mutual-Funds...

SWP from debt funds https://www.advisorkhoj.com/company/Principal-Mutual-Fund...

SWP from debt funds are tax efficient than FDs https://www.advisorkhoj.com/company/Principal-Mutual-Fund...

Top SWP Funds https://www.advisorkhoj.com/mutual-funds...

In case you have further queries on this, you may write to us again.

Hope this helps you! Thanks for writing to Advisorkhoj : )